The Impact Of REITs On Real Estate Market

China's real estate market have been matured gradually after nearly 15 years of development, the number of real estate enterprise rising rapidly, the market value of real estate has also increased. Along with the development of the real estate market, the prices of real estate increased people's life burden, the reason was that real estate market is imperfections. Accelerate the development of real estate finance industry to promote real estate living and investment function of separation is the only road of the healthy development of real estate.This paper analyzes the dates mainly from the perspective of positivism REITs in the United States and Hong Kong, summarizes the REITs in the world as the earliest development of the United States, experienced in mortgage REITs primarily to rights of the process of REITs, mainly type found the United States rights not only keep a stable of REITs, and keep the yields on the higher price growth. While Hong Kong is China's development in the regions of the earliest REITs mainland property as business property area, Hong Kong REITs only rights a type, this type of Hong Kong by RETIs calculated with high equity returns, but also have a substantial price performance, reflect rising real estate market prices with the consistency of the United States, it is concluded that whether REITs have is Hong Kong's real estate peculiar value function, and REITs in financial markets and other financial instruments has low correlation characteristics, which can promote the development of the financial market stability conclusion. The article also from the normative angle REITs in promoting the healthy development of the role of real estate, mainly in stable price, to broaden the financing channels, to control the market function.The paper argue that it is because China's real estate execute the function of the living and investment, and investment function caused a soaring real estate prices, thus promoting China's real estate living and investment function of separation, real estate finance should be reference for the development of advanced and mature REITs form, and the real estate market in China after years of development have the basic condition of developing REITs. The development of real estate finance industry in China, will further promote the healthy development of real estate industry of China.